For Your Data How To Stimulate Upwardly One's Heed Marketplace Pose Concentration Using Hiffendale-Hirschorn Index
August 31, 2019
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Determining Market Concentration
Hiffendale-Hirschorn Index
Square together with heart together with mortal all multiple concentrations:
-
Mckesson
25%625Bergen
22484Cardinal
18324Amerisource
12144Bindley
416Newman
24Morris & Dickson
24Smith
11Others
0
HHI premerger = 1648 (1602 yesteryear our rounded calculations)
Guidelines Level for Post-Merger HHI
-
1000
Essentially a Safe Harbor
1800
Highly concentrated
10,000
Perfect Monopoly
ΔHHI = Twice the production of the 2 squares
E.g. McKesson & Amerisource = 2 * 12 * 25 = 600
# of firms = 10,000 / HHI (equivalent to firms amongst equal shares)